Plume Leverages PayPal USD to Fuel New PayFi Vault

Plume, a layer-1 blockchain focused on real-world asset finance, is set to introduce a new payment finance product called the PayFi Vault, powered by PayPal USD (PYUSD). This product, named nPAYFI, will be integrated into Plume’s yield streaming platform, Nest. By leveraging the PayPal USD stablecoin, which has a market capitalization of over $759 million, Plume aims to bring a new dimension to real-world asset (RWA) financing.

The PayFi Vault (nPAYFI) will allow users to access yield-generating opportunities from various real-world asset payment inflows such as invoices, receivables, and payment obligations. This move is a significant step in integrating stablecoins like PYUSD into the broader RWA market, which includes industries such as global trade, commerce, and inventory management. The use of a U.S. dollar-pegged stablecoin in the vault will enhance global accessibility and offer more opportunities for businesses to optimize their capital.

Plume’s co-founder, Teddy Pornprinya, emphasized that RWA-backed stablecoins are evolving beyond just serving as a medium of exchange and are now becoming a core element of short-term financing solutions. The introduction of nPAYFI is designed to offer faster settlements, lower costs, and greater financial inclusion by enabling businesses to unlock yield from payments that would otherwise remain dormant. This is an important step in driving greater efficiency and liquidity in the real-world asset finance space.

The platform’s layer-1 blockchain is compatible with Ethereum Virtual Machine (EVM), which allows for seamless integration with existing decentralized finance (DeFi) ecosystems. This composable environment supports more than 180 protocols, and Plume also has a $25 million ecosystem fund dedicated to early-stage projects in real-world asset finance.

Plume has already formed several strategic partnerships, including collaborations with Music Protocol, Superstate, and Ondo Finance. These partnerships help integrate tokenized intellectual property rights, such as music royalties, onto the blockchain, which could benefit industries like real estate and private credit. These collaborations are aligned with Plume’s vision of bridging the gap between traditional finance and the decentralized world.

In December 2024, Plume raised $20 million in a Series A funding round, which will likely help fuel further developments and expansions in its blockchain-based real-world asset finance solutions.

With this launch of the PayFi Vault, Plume is taking significant strides toward transforming how businesses and industries can leverage blockchain technology for real-world financing, making it a key player in the future of decentralized finance.